BRAZILIAN MINISTER SUPPORTS AIRLINE WORKERS DEMAND FOR MORE MONEY

By Dino D'Amore
January 7, 2011 21:02

Brazilian labour minister Carlos Lupi has given his support for airline workers’ demand for a 10% increase in wages. He said Brazilian carriers Gol Linhas Aereas Inteligentes and Tam have made a lot of money from increased traffic by the nation’s growing middle class and has said a 10% wage increase wont stoke inflation in the country.

Demand for domestic traffic rose significantly in 2010, and Gol expects domestic air demand to increase 10% to 15% in 2011.

“A virtuous economic cycle favors the worker,” Lupi said. “If wages fueled inflation, the world would be finished. We have a growing middle class that needs to buy, and pay raises will provide more tax collection, investments and ultimately jobs.”

The government is increasing the regulation of airlines, including boosting enforcement of labour laws, to improve the industry’s performance.

However, airline workers demands aren’t met by the airlines, they could declare a strike on January 12. The airlines have already offered a rise of 8.2%.